[Public Notice+] LIS "Application for Exemption Review on Sanctions for Delayed Submission of Business Reports"

[Asia Economy Reporter Yoo Hyun-seok] LIS announced on the 18th that it has applied for an exemption review from sanctions related to delayed submission of business reports due to the impact of the novel coronavirus infection (COVID-19).

According to the announcement, LIS is experiencing delays in receiving creditor inquiry letters necessary for external audits from its Chinese clients due to movement restrictions and work-from-home measures imposed by Chinese authorities as part of COVID-19 prevention efforts. LIS has major clients in Wuhan, Chengdu, and Mianyang, China, which account for approximately 97% of its sales.

The company stated, "Due to circumstances faced by our Chinese clients caused by COVID-19, the external audit and preparation of financial statements for the 2019 fiscal year are being delayed. Accordingly, we have applied to the Financial Supervisory Service for an exemption review from sanctions related to delayed submission of business reports." It added, "We have requested to receive the creditor inquiry letters as soon as possible and will promptly complete the audit and submit the audit report once the related materials are received."

The result of the Securities and Futures Commission's resolution on the sanction exemption application will be disclosed later. If approved as a sanction exemption, the 2019 fiscal year business report and related documents will be submitted in accordance with the extended submission deadlines permitted by the Financial Services Commission and the Financial Supervisory Service.

Meanwhile, it is known that many companies involved in exports to China have applied for administrative sanction exemptions due to their inability to submit business reports and other documents within the deadline because of the impact of COVID-19.

This content was produced with the assistance of AI translation services.